This article was taken from The Construction Index and can be read in full by clicking the link.
The value of new work fell by even more, down 12%, the Office for National Statistics (ONS) reports.Construction output fell 5% in October 2012, compared to October 2011, and was down 10% for the three month period August-October, according to official statistics.
David Crosthwaite, an economist for construction consultant Aecom, commented: “October was yet another bad month for construction. ONS data suggests that output declined yet again, this time by 5% compared with the same period last year. In terms of quarterly output (August to October) the picture was even worse with a 10% decline year on year.
“Publicly funded construction continues to be the worst affected sector with some major declines evident, particularly in the public housing sub-sector which is almost 21% lower than the same period in 2011.
“Hence, it appears that one way of arresting the continuing decline in construction output would be for the government to bring forward any public sector investment plans as a matter of urgency. Construction is an important part of the UK economy as a whole, providing the facilities that we all need to be productive.
“Thus, the continuing decline in this sector will have inevitable consequences for the wider economy going forward.”